ETF Approved, But Why Hasn't ETH Hit All-Time Highs Yet?

Although the ETFs have been approved, they have not yet officially started trading, so there has been no new capital flowing into the market. For an ETF to launch, two approvals are required from the U.S. Securities and Exchange Commission (SEC): one for the exchange's rule change (19b-4) and one for the form S-1. Currently, only 19b-4 was approved yesterday, while S-1 has not yet been approved. Spot ETH ETF issuers need to have an active S-1 form before trading can begin. The SEC has begun discussions with issuers about their S-1 forms, and some analysts predict the process could take several weeks. For Bitcoin, the S-1 was prepared before 19b-4, which made approvals quick and trading could start as soon as the next day.

Remember, when the Bitcoin ETF was approved in January, the price did not immediately skyrocket to an all-time high. Instead, we have seen "sell the news", where prices rose sharply before the event and then decreased slightly when the official news was announced. Only after a while did the Bitcoin price truly stabilize and break its all-time high, thanks in part to the Bitcoin halving event. This suggests that the positive impact of the event is gradually absorbed by the market over time.

Therefore, it would not be surprising if the same pattern plays out with ETH this time. What we need to do now is continue to be patient and wait.